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Earlier, when the market was relatively small and slowly finding its footing, only the basic traits like technical knowledge and a sense of responsibility were sufficient to carry out day-to-day work. Employees were expected to complete assigned tasks, maintain discipline and follow organizational instructions. However, as the market began expanding and competition increased, the expectations from the workforce also evolved. It was no longer enough to simply do the job; individuals were required to bring in strong skills, a positive mindset and the ability to work well in teams. Today, especially in the highly competitive and stress-prone banking sector of Nepal, these attributes, though still essential, are not enough. The need for high energy levels has become absolutely critical.

Banks and financial institutions are facing increasing pressure to perform amidst economic slowdowns, tighter regulatory requirements, digital transformation and rising customer expectations. In such a dynamic and often turbulent environment, employees, especially those at the frontlines, are expected not just to deliver but to do so under immense mental and emotional pressure. Knowledge, attitude and teamwork lay the foundation, but energy is what drives execution. Without sufficient energy, even the most skilled and committed employees can begin to underperform.

Energy, in this context, is not just physical stamina. It includes mental clarity, emotional resilience and the ability to stay motivated over long hours of multitasking and problem-solving. A typical banking employee, especially one dealing directly with customers, is expected to handle a dozen tasks simultaneously resolving complaints, managing internal coordination, maintaining compliance and closing sales all while maintaining a positive customer experience. As the load of responsibilities increases, so does the demand for sustained energy.

As you engage in multiple critical tasks throughout the day, it becomes imperative to actively manage and preserve your own energy levels and just as importantly, to ensure your team members are doing the same. A drop in energy can immediately result in reduced focus, lower morale and a slowdown in performance. This becomes even more dangerous in moments of crisis or during heavy workloads.

Frontline employees are especially vulnerable during turbulent times. Their energy levels can fluctuate based on small interactions like a missed appreciation, an offhand remark, or an unresolved internal conflict. In high-pressure environments, such as during financial year-end closures, system failures, or regulatory inspections, even minor emotional setbacks can have a disproportionate impact. That’s why such team members need to be handled with extra care and empathy. At times, a bit of pampering, offering support, showing appreciation and simply listening—can make a significant difference in helping them bounce back and stay engaged.

Moreover, evaluating performance solely based on outcomes can often be misleading during uncertain or volatile periods. For example, a relationship manager might work rigorously to secure a client deal, follow up diligently and prepare multiple proposals, but the final approval may get delayed due to external factors beyond their control. If we ignore their efforts and focus only on the results, we risk demotivating them and possibly discouraging future initiative. Instead, performance should be assessed through a balance of activity and intent especially when outcomes are subject to market forces and timing.

This makes it even more important for organizations to prioritize energy management as a strategic focus. Leadership needs to shift from merely tracking performance numbers to actively monitoring and sustaining the energy levels of their workforce. This includes good interaction with employees regularly, creating safe spaces for communication, encouraging breaks and celebrating small wins. Importantly, boosting engagement levels through meaningful work, recognition, hearing their voice and involvement in decision-making processes can go a long way in keeping energy levels high.

Organizations that fail to recognize the importance of energy are at serious risk, especially in tough markets like Nepal’s current banking landscape. Burnout, disengagement and high turnover are often the result of energy depletion, not lack of talent. At the same time, companies that cultivate high-energy teams find that performance becomes more consistent, creativity is higher and employees are more resilient when unexpected challenges arise.

While knowledge, attitude and teamwork remain essential ingredients for team success, energy is the invisible fuel that keeps everything moving forward. In the context of Nepal’s banking sector where stakes are high, challenges are constant and employee pressure is intense, energy has become a key performance driver. Leaders must understand that energy is not a byproduct of performance, but a prerequisite. By consciously maintaining and nurturing the energy of their teams, especially in tough times, organizations can ensure not just survival, but sustainable growth and long-term success.

The term liquidity trap was coined by economist John Maynard Keynes in 1936. A liquidity trap is when there is excess liquidity in the market but the banking sector is unable to invest and there is no demand for credit. This is why the banking sector is forced to further reduce interest rates. When investment is weak, the price of goods and services also increases. 

Banks have large sums of money in their deposits and are not borrowing. This is a problem because banks have to pay interest on the money they have. The state of cash availability in banks and financial institutions is called liquidity apart from the quality or ability of any asset to be converted into immediate expenditure or payable amount. 

In the banking and financial sector, liquidity is also understood as immediately investable capital. Even with low interest rates, there is no demand for credit from the business sector, but rather consumption and investment are reduced, cash hoarding is encouraged and capital is transferred abroad, that is, capital flight. When liquidity in such a market increases, investors are worried that they will not get a return. In such a situation, monetary policy is powerless because it cannot be implemented effectively. 

Nepal Rastra Bank is the regulator of managing bank liquidity in Nepal, so it has a large number of tools to control bank liquidity. Some of the methods are increasing the CRR and SLR ratios, increasing reverse repo, issuing government securities, increasing bank rates, etc. For some time now, there has been a significant decrease in excess liquidity and credit flow.

Deposits kept by the general public in banks, amounts kept by banks in the central bank, financial instruments that are bought and sold in the market, and precious metals such as gold and silver have high liquidity. 

There are some reasons for this which include: Lack of clear explanation of currency liberalization, financial chaos, non-viability of the economy, sluggishness in the capital market, post-covid economic situation etc., unpreparedness of business, trade and industry friendly environment.

In short, unless some security is given to the bank officials, they are less likely to lend. This excess liquidity, which could have driven economic growth under ideal circumstances of the country and monetary situation, is being underutilized mainly due to declining credit activity and increasing burden of non-banking assets, which is currently seen in Nepal. 

Liquidity problem

Despite the country having sufficient cash reserves, banks are struggling to mobilize funds profitably. Economic uncertainty and declining public confidence have brought about and are overshadowing a dramatic slowdown in credit distribution in the country. Borrowers worried over financial instability are reluctant to borrow more, while banks, burdened by a growing default burden, are tightening lending standards. Adding to these problems is the growth of non-banking assets—assets that banks have acquired due to loan defaults, usually real estate, which is also a problem, and the current budget. Even in the past, the idea of ​​opening an asset management company did not work. 

Service vs manufacturing 

Nepal currently has a huge service industry. This is a bright spot. The problem is that lending to the service industry is a struggle fraught with great risks. There is almost always zero physical assets and service industries are always valued by their equity value and their overall brand name and demand. Banks are uncomfortable lending to the service industry as well as the manufacturing industry. One because the assets are always intangible and the other because of the existing NPAs. 

Liquidity management in Nepal in a difficult situation. It would not be an exaggeration to say that economic stability is the main macroeconomic goal of any country, developed or developing. Fiscal policy and monetary policy ensure this, which is not possible without the availability of liquidity and its proper mobilization. The main source of liquidity is deposits received from various agencies and individuals, external remittances and loan recovery. Looking at the current context of Nepal, on the one hand, there is a predominance of consumer credit, and on the other, due to the slowdown in industry and trade, the disposable income of businesspeople and the general public has decreased, which is making it difficult to pay the principal and interest on loans taken from banks. 

The bitter but real question has begun to arise whether the banking sector will find it difficult to manage liquidity due to the country’s excess liquidity and will fall into a liquidity trap. The budget for the fiscal 2025-26 has arrived, there is a liquidity mechanism, monetary policy will come, how will it be addressed? 

In this context, businesspeople had to run their businesses to repay bank loans. Consumers had to increase consumption. At the same time, banks should be aware that they should not delay in formulating short-term, medium-term and long-term strategies to solve the problem of liquidity management.

The country’s banking sector is experiencing a terrible paradox. 

Despite having sufficient cash reserves, banks are struggling to mobilize funds profitably. Economic uncertainty and declining public confidence have led to a dramatic slowdown in credit distribution. Borrowers worried about financial instability are hesitant to take on more loans, while banks burdened by the burden of increasing defaults are tightening lending standards.

Despite having adequate cash reserves, banks are struggling to mobilize funds profitably. Economic uncertainty and declining public confidence have led to a dramatic slowdown in credit distribution. Borrowers concerned about financial instability are reluctant to borrow more, while banks, burdened by growing defaults, are tightening lending standards. The Daily Liquidity Facility (DCF) Procedures of the Nepal Rastra Bank (Second Amendment) Provides detailed information on the procedures and processes to be followed for the DCF and the Overnight Liquidity Facility under the Real Time Gross Settlement (RTGS) system operated by Nepal Rastra Bank. 

It clarifies how participating financial institutions can utilize the liquidity facility, the management of collateral, calculation of interest, and the additional charges and actions to be taken in case of default.

It also covers the use of collateral management accounts and settlement accounts, the format of monthly reports and the rules on recovery. In the country, the Nepal Rastra Bank is the bank that sends the required liquidity to the banking system and absorbs it when there is excess.

The procedure was prepared by the central bank with the aim of providing immediate liquidity to banks and financial institutions in case of liquidity shortage while transacting in the Real Time Gross Settlement (RTGS) system. This has been made by exercising the authority granted by Section 110(3) of the Nepal Rastra Bank Act, 2058. In Nepal, credit has not been able to expand because there is currently pressure on businesses to repay loans rather than demand for loans. Central banks manage liquidity in the economy to ensure financial stability and control inflation. 

A detailed overview of why and how they collect excess liquidity, the benefits of this practice, and the costs associated with it shows that: Why do central banks collect excess liquidity? 

Control of inflation

Excess liquidity can lead to high inflation because more money can buy the same amount of goods and services. By collecting liquidity, central banks can help stabilize prices. 

Financial markets are stable: Too much liquidity can result in rising asset prices and increased risk-taking. Reducing liquidity can help maintain market discipline. Promoting sustainable economic growth: By ensuring that liquidity levels are appropriate, central banks can help the economy grow sustainably rather than overly dynamic. 

Managing currency value: Excess liquidity can also weaken a country’s currency. By controlling liquidity, central banks can help maintain or strengthen the value of a currency.

How do central banks raise excess liquidity? 

Open market operations (OMOs): The central bank sells government securities in the open market to absorb excess cash. When financial institutions buy these securities, they pay for them from their reserves, which reduces the amount of money in circulation. 

Interest rate adjustments: By lowering interest rates, central banks can make borrowing cheaper and saving more unattractive, which can lead to lower spending and investment, which in turn reduces liquidity. 

Reserve requirements: Increasing the reserve requirement ratio forces banks to hold a larger portion of their deposits in reserves, which reduces the amount available for lending. This can directly reduce liquidity in the economy. 

Fixed deposits and reverse repos: Central banks can also use instruments such as fixed deposits or reverse repurchase agreements to temporarily absorb liquidity. Banks deposit funds with the central bank for a specified period, reducing the money supply. 

Benefits of liquidity deposits 

Inflation control: Helps maintain price stability, which is important for economic confidence and planning. 

Financial stability: Reduces the risk of asset overvaluations, which can lead to a financial crisis if they become too extreme. 

Promotes responsible lending: By controlling excess liquidity, banks can be encouraged to lend more responsibly, reducing the risk of default. 

Strong currency: A strong national currency can benefit importers and reduce the cost of foreign borrowing. 

Long-term economic growth: By creating a more stable economic environment, central banks can foster conditions that support sustainable growth. As for the costs of liquidity management, they can vary depending on the methods used 

Interest costs: If a central bank raises interest rates, it can increase the cost of borrowing for governments and consumers, which can have a liquidity effect on the economy. 

Opportunity costs: Selling securities or raising reserve requirements can limit the amount of money available for banks to lend, potentially slowing economic growth. 

Administrative costs: Implementing and managing liquidity management operations incurs administrative costs for the central bank. 

Market effects: Aggressive liquidity management can cause market instability or disruptions, which can have broader economic effects. In short, despite the costs of managing excess liquidity, it can also contribute to economic stability, inflation control and sustainable growth.

In short, while there are costs to managing excess liquidity, the benefits in terms of economic stability, inflation control and sustainable growth often outweigh these costs. Therefore, central banks must carefully balance their liquidity management strategies to effectively achieve their monetary policy goals. Collaboration with the business community is essential in resolving the issues raised, including the questions raised regarding the current capital and credit guidelines for liquidity management, 2079. 

It seems that a comprehensive roundtable conference should be held immediately between bankers, businesspeople and the government to arrive at a conclusion on why the banking sector is not enthusiastic about credit investment and why there is no demand for credit despite the significant increase in deposits. The economy is weakening due to increasing dependence on consumption, government revenue and imports. Therefore, for proper management of liquidity, emphasis should be placed on manufacturing and agricultural-oriented investment, and the development of import-substituting industries and exports should be increased.

Nepal stands at a pivotal moment in its digital journey. With 132 percent of cellular mobile phones proliferating and with 55.8 percent of online penetration expanding even into remote corners the question is no longer if the country will transform, but how that transformation can be guided toward equity and inclusion. Central to this is the role of girls and young women: from coders and entrepreneurs to engineers and digital-diplomacy leaders, they represent an enormous reservoir of talent that remains largely untapped. In a country where digital strategies have been drafted to accelerate progress on health, education and economic development, Nepal cannot afford to leave half its population on the sidelines.

As we marked the International Girls in ICT Day 2025 last month under the theme “Girls in ICT for Inclusive Digital Transformation,” this article explores what that transformation could and should look like for Nepal. We examine the current landscape, shed light on both barriers and opportunities and chart a possible roadmap to ensure every girl in Nepal can confidently claim her place at the digital table.

Every year on April 24, the global community unites to celebrate Girls in ICT Day, shining a spotlight on the critical role that girls and young women play not just as technology users, but as innovators, creators and leaders of our digital future. 

The celebration is rooted in a powerful historical parallel. Thirty-six years ago, the Hubble Space Telescope was launched, an achievement made possible in no small part by Nancy Roman, often called the “mother” of Hubble. Roman faced early resistance: she was told astronomy and the vastness of space was no place for a woman. Undeterred, she persevered, securing legislative approval and funding that transformed human understanding of the universe. Her story is a testament to the fact that when women are given the opportunity to lead, the boundaries of possibility expand exponentially.

In Nepal, the year’s celebration featured hackathons, ideathons, AI exposure workshops and digital safety training. These events witness the enthusiastic response from the young participants but their urban-centric nature definitely leaves countless curious girls in rural and marginalized communities disconnected from the celebration.

The big picture

Nepal’s digital transformation journey, as outlined in the 16th Periodic Plan, is focused on modernizing governance, enhancing service delivery and integrating technology across key sectors. The government has prioritized faceless service delivery through tools like the Nagarik App, supporting Digital Nepal Framework 2.0, which seeks to expand digital infrastructure, broadband connectivity and cybersecurity measures. Education and healthcare systems are also undergoing digitization, with plans to implement digital learning platforms and an integrated health information system to improve accessibility. 

Gender inclusivity is embedded in the transformation efforts, with targeted programs aimed at expanding digital literacy among women and marginalized communities. Policies emphasize increasing technology access and affordability for women, children, gender minorities and individuals with disabilities, ensuring equitable participation in Nepal’s evolving digital economy. Employment initiatives like IT-based job programs for youth further aim to bridge gaps and provide digital employment opportunities. Fintech solutions such as IME Pay, Khalti and eSewa have empowered women-led businesses, offering financial inclusion and digital banking services to underserved communities. These structural changes indicate that Nepal’s digital transformation, if effectively implemented, has the potential to bridge the gender divide and economic disparities for a more inclusive future.

But challenges still persist.

Women in ICT in Nepal 

Nhasala Joshi, the co-founder of Women Leaders in Technology (WLiT), recalls how, in professional settings, people often assumed she was an assistant when she attended meetings alongside her male employees. This seemingly small but deeply rooted assumption speaks volumes about the gender disparity in Nepal’s ICT sector, where women still struggle for recognition in leadership and technical roles. It reflects a larger societal pattern, one shaped by entrenched biases, systemic exclusion and a biological deterministic attitude that diminishes women’s professional agency.

According to a Women in Information Technology (WIIT) study, women constitute only 7.88 percent of the workforce in Nepal’s ICT companies, particularly in core technical roles, and an even lower 0.51 percent in ICT-enabled firms. These figures stand in stark contrast to 42 percent female tech representation in the Philippines, 34 percent in India and 22 percent in Indonesia, underscoring Nepal’s lag in gender-inclusive digital employment. The UN Women’s Gender Snapshot Report (2022) warns that this exclusion could cost Nepal Rs 15bn by 2025, reinforcing the economic urgency of closing the digital gender gap.

Women in Nepal’s digital landscape face systemic barriers that limit their full participation in ICT. Deep-seated biases in hiring, restricted access to digital literacy programs and weak cybersecurity protections perpetuate gender disparities. Key challenges also include limited mentorship opportunities, financial barriers to accessing education and training, and inadequate support for work-life balance, making it difficult for women to return to the workforce after career breaks. 

Despite increasing internet accessibility (with women making up 43.6 percent of Nepal’s total social media users) this connectivity does not equate to equal opportunities in the digital economy. Many women continue to face online harassment, cyber threats and limited exposure to tech-driven employment, reinforcing their marginalization in Nepal’s digital transformation. Furthermore, Nepal’s policy framework lacks explicit mandates for gender equity in ICT, offering insufficient legal protections for digital safety and empowerment. Without deliberate action, these gaps will widen, leaving women on the periphery of Nepal’s digital progress rather than at its center.

The way forward 

Despite the stark differences, the same study shows that the ICT sector is gradually becoming more inclusive for women, offering signs of progress toward equality. Encouragingly, wage disparity appears less pronounced in Nepal’s ICT sector, with 87.9 percent of surveyed women reporting no compensation differences compared to male counterparts. Women are also recognized for their strong ethical professionalism, effective customer relations and innovative thinking, underscoring their potential to shape the industry. Much remains to be done to ensure meaningful participation for women in digital transformation. 

For Nepal’s digital transformation to be truly inclusive, efforts must begin with investing in girls in ICT from an early stage. Strengthening digital literacy programs in schools, communities and workplaces is essential to ensuring that young girls not only understand technological tools but can also envision career opportunities in ICT. Nepal must also push for stronger cybersecurity laws and workplace inclusivity policies to safeguard women’s participation in the sector without fear of harassment or discrimination. Investment in women-led tech initiatives can accelerate progress by providing funding, mentorship and incubation opportunities for female entrepreneurs in technology. Additionally, shifting cultural narratives is crucial—society must actively encourage young girls to pursue digital careers and showcase female tech leaders as role models.

Digital transformation in Nepal is more than a technological shift—it is a structural reimagining of economic, infrastructural and social development. As Nepal embraces digital tools to modernize public service delivery, governance and economic opportunities, ICT emerges as the essential enabler of this transition. However, for this transformation to be truly impactful, it must be inclusive, ensuring that women, who make up nearly half of the nation's population, are active contributors rather than passive beneficiaries.

Former President Bidya Devi Bhandari’s nine-day visit to China has been interpreted differently by various sections of the society. Much of the commentary and analysis was based on reports in the Nepali media often lacking objectivity or verification. This tendency, with a few exceptions, remains a characteristic of Nepal’s media landscape.
Before delving into her high-level visit to Beijing and Gansu province accompanied by leaders of the CPN-UML and a Minister of the Government of Nepal, it is worth recalling who Bidya Devi Bhandari is. She served two terms as the president of the Federal Democratic Republic of Nepal, becoming both the country’s first female president and a founding president of the republican era. During her tenure, she faithfully upheld the Constitution and acted as a guardian of national interest, always prioritizing sovereignty and integrity without compromise.

In Nepal’s political history, Bhandari has made lasting contributions that are widely recognized. She championed the women’s movement, significantly advancing women’s participation in policymaking, especially in politics. Before becoming the head of state, she was the vice-president of the CPN-UML—the party’s second-highest position. Although she entered the presidential office carrying her party’s legacy, she fulfilled the responsibilities of her high office with dignity and neutrality.

Now, let us return to the core issue: the nature of her visit to China. She visited the northern neighbor in the capacity of a former head of state, not as a CPN-UML leader. Contrary to reports in Kathmandu, she was not invited by the International Department of the Communist Party of China (IDCPC), but rather by an organization named the Chinese Association for International Understanding. However, it is true that the IDCPC facilitated the visit. During her stay in Beijing, she addressed a gathering of political parties from China’s neighboring countries as a guest speaker. She understandably presented herself as both a former head of state and a former vice-president of the CPN-UML, which is appropriate and does not harm anyone. After all, political leaders carry their legacies.

In Gansu, she delivered a statement on China’s Global Civilization Initiative (GCI), announced by President Xi Jinping in 2023, at a high-level political party meeting. China is a civilizational state with a recorded history of more than five thousand years. The revival of such a legacy is a proud moment for any nation. During her visit, Bhandari met with Chinese Vice-president Han Zheng in Gansu and held a meeting with Liu Jianchao, Minister of the IDCPC, in Beijing. In both meetings, she presented herself as a leader of Nepal’s communist movement and a former president. She also met Ji Bingxuan, vice-chairman of the Standing Committee of the 13th National People’s Congress and president of the Chinese Association for International Understanding. Their exchanges focused on goodwill and matters of mutual interest.

While she was participating in programs in Beijing, a wave of speculations and conspiracy theories flooded the media in Kathmandu. Much of the reporting misrepresented the nature of her engagements, fueling unnecessary political tensions. Upon the delegation’s return, Minister Damodar Bhandari held a press briefing to clarify the purpose and outcomes of the visit. He explained that the visit focused on strengthening bilateral ties and covered various issues, including trade, culture, civilizational linkages and people-to-people relations. Understandably, discussions also included party-to-party relations between the CPN-UML and the CPC.

These were the key diplomatic engagements of former President Bhandari during her visit to China. Everyone has the right to interpret the underlying messages, but interpretations must be based on facts and coherence with the agendas of the visit.

Let’s fairly evaluate the visit.

First, no Chinese leader said that Nepal’s communist parties must unite before the 2027 elections, as some Nepali media outlets inaccurately reported. Chinese officials are careful not to interfere in domestic political matters. They consistently emphasize political stability as a prerequisite for development and prosperity. When engaging with Nepali leaders, they often share their own historical experiences of national humiliation and urge Nepali counterparts to maintain stability and pursue development with patience and vision.

Second, Chinese leaders generally welcome guests with honor and respect—more so for someone like Madam Bhandari, who is both a former head of state and a figure with a strong communist legacy. The respect she received should be interpreted as respect for the people of Nepal and its leadership. There is no evidence to support the claim that China is projecting her as the next president of the CPN-UML or facilitating her return to active politics.

Third, some reports suggested that Minister Liu said Madam Bhandari was the only leader capable of uniting Nepal’s communist parties. This was another misrepresentation. While Minister Liu did praise Bhandari, he did not suggest that she was uniquely trusted by China to reunite the leftist forces. This claim is part of a deliberate effort to circulate misleading narratives.

Fourth, Madam Bhandari is not only a former president but also the spouse of Madan Bhandari, the architect of People’s Multiparty Democracy (PMD)—the guiding principle of the CPN-UML. Chinese leaders hold great respect for the late Madan Bhandari and are closely familiar with the PMD framework. Their respect for Madam Bhandari is naturally linked to her late husband’s ideology, which sought to creatively reorient Nepal’s communist movement.

Fifth, the issue of who will be the next president of the CPN-UML is entirely an internal matter of the party. It is neither dictated by Beijing nor influenced externally. KP Sharma Oli is the current president of the party and the Prime Minister of Nepal. He leads both roles with strength and stability. Oli has never faced a leadership challenge within the party. He is seen as the leader who protected and revived the party during difficult times. If and when he decides to step down, he will identify a suitable successor. Should Madam Bhandari re-enter active politics, it will only be with Oli’s endorsement.

Therefore, let us refrain from circulating fabricated plots. Let us respect our neighbors and avoid unnecessarily dragging them into our internal affairs. Let us show our leaders some respect and avoid fueling divisions.